Marathon Oil, through its wholly owned subsidiary Marathon Petroleum Norge AS, announced the signing of a sales agreement with Statoil Petroleum AS for all of Marathon’s interests in production licenses PL 025, PL 048E and PL 187 on the Norwegian Continental Shelf. The transaction has a value of $85 million USD and an effective date of Jan. 1, 2011. The companies expect completion of the transaction in the first quarter of 2011, subject to Norwegian governmental approval.

The transaction includes Marathon’s 20 percent interest in PL 025 (Gudrun field development) and PL 187 (Brynhild discovery), and 12.5 percent interest in PL 048E (Eirin discovery). Marathon has no production or booked proved reserves associated with these licenses.

Marathon’s partners in PL 025 and PL 187 are Statoil Petroleum AS and GDF Suez E&P Norge AS, and in PL 048E Statoil Petroleum AS and TOTAL E&P Norge AS. Statoil Petroleum AS serves as operator in all these production licenses.

This sale is part of Marathon’s ongoing efforts to ensure the Company’s asset portfolio consists of the most competitive projects aimed at value creation. The sale is strategically aligned with Marathon’s business plans on the Norwegian Continental Shelf, and Norway continues to be a strategic core area for Marathon. None of the assets involved in this sales agreement are associated with Marathon’s Alvheim/Volund/Vilje development or related operations.

Marathon Petroleum Norge AS is a subsidiary of Marathon Oil Corporation, and is the operator of the Alvheim and Volund fields in the North Sea. Marathon Petroleum Norge AS is currently operator of 10 production licenses on the Norwegian Continental Shelf.